Regulatory Alerts2020-01-01
Board of Directors Decision No. (187) of 2020
The Financial Regulatory Authority (FRA) of Egypt issued Board Decision No. 187 of 2020 mandating all supervised non-banking financial entities to establish and continuously maintain a client database that categorizes customers by gender, language, and service region. The regulation requires these entities to submit quarterly transaction reports to the FRA within fifteen days of each quarter's end, explicitly detailing the mandated client categorization. This decision, approved on December 9, 2020, takes effect the day after its publication in the Egyptian Gazette and applies specific female ownership and leadership thresholds for legal entities.
Financial Regulatory Authority
FINANCIAL REGULATORY AUTHORITY
Chairman of the Authority
Board of Directors Decision No. (187) of 2020 dated 9/12/2020
Regarding the establishment of a database by companies and entities operating in the non-banking financial activities sector concerning the services they provide to their clients
Board of Directors of the Financial Regulatory Authority Having reviewed the Law on Private Insurance Funds issued by Law No. (54) of 1975; and the Law on Supervision and Control of Insurance in Egypt issued by Law No. (10) of 1981; and the Capital Market Law issued by Law No. (95) of 1992; and the Central Depository and Registration of Securities and Financial Instruments Law issued by Law No. (93) of 2000; and the Real Estate Financing Law issued by Law No. (148) of 2001; and Law No. (10) of 2009 regulating supervision over non-banking financial markets and instruments; and Law No. (141) of 2014 regulating the activity of financing medium, small, and micro-enterprises; and the Law regulating the activity of financial leasing and factoring issued by Law No. (176) of 2018; and the Law regulating the consumer financing activity issued by Law No. (18) of 2020; and after approval by the Authority's Board of Directors in its meeting held on 9/12/2020; has decided
(Article One)
Companies and entities operating in the non-banking financial activities sector subject to the supervision and control of the Authority shall establish a database detailing the services they provide to their clients, ensuring that this database categorizes clients – at a minimum – according to the following criteria:
(Article Two)
Companies and entities operating in the non-banking financial activities sector subject to the supervision and control of the Authority shall continuously update the database referred to in Article One of this Decision, and shall also submit quarterly reports to the Authority regarding their transactions with clients, clearly indicating the aforementioned categorization, within a deadline of fifteen days from the end of the period covered by the report.
(Article Three)
This Decision shall be published in the Egyptian Gazette and on the Authority's website, and shall take effect from the day following its publication in the Egyptian Gazette.
Chairman of the Board of Directors of the Authority Dr. Mohamed Omran
Smart Village, Building No. B-136, Giza, Egypt Postal Code: 12577 Tel.: +202 3545350, Fax: +202 35370036 info@fra.gov.eg
Smart Village, Building no. B-136, Giza Postal Code: 12577 Tel.: (00202) 35345350 - Fax.: (00202) 35370036 www.FRA.gov.eg
(Page Two)
1- Client type (Male – Female). 2- Client language (Arabic). 3- Geographic area for service provision.
With respect to legal persons, the categorization regarding women, as mentioned in the preceding paragraph, shall also apply in the following two cases:
1- A single woman owns a percentage of no less than (51%) of the company's or establishment's capital. 2- A single woman owns a percentage of no less than (20%) of the company's or establishment's capital, provided that at least one woman holds the position of Chairman of the Board, Managing Director, Chief Executive Officer, or Deputy to any of them.
Chairman of the Board of Directors of the Authority Dr. Mohamed Omran
Smart Village, Building No. B-136, Giza, Egypt Postal Code: 12577 Tel.: +202 3545350, Fax: +202 35370036 info@fra.gov.eg
Smart Village, Building no. B-136, Giza Postal Code: 12577 Tel.: (00202) 35345350 - Fax.: (00202) 35370036 www.FRA.gov.eg